According to Goldman Sachs’ Alexander Balakhnin, although Yandex NV is currently trading at a discount on a growth-adjusted basis to its global peers, there is potential for 31 percent upside. The analyst upgraded the rating on the company to Buy, while raising the price target from $15.50 to $19.90.Performing Well Balakhnin mentioned that Yandex has performed largely in line with MSCI Russia year-to-date “at a time when the introduction of the VCG auction, a stronger ruble and lower future rental costs as a result of the HQ office acquisition have improved the group’s EPS growth profile and reduced prospective volatility.” The analyst stated that while mobile search distribution continues to be a long-term concern, the company’s revenue was expected to grow at a robust 22 percent during 1H16. Related Link: Citi Says Internet Investors Are "Perplexed," Thinks Amazon And LinkedIn Have Best Chance To Beat EarningsExpectations For 1Q16 And Beyond Balakhnin expects the company to report healthy revenue growth of 23 percent year-on-year when Yandex announces its 1Q16 financials on April 28, driven by the launch of the VCG auction and rapid business platform growth, especially for Taxi. “We expect such yoy growth to be supportive of the stock, highlighting the strength of Yandex’s business model in the face of the challenging macro environment,” Balakhnin said. In addition, the analyst expects the company’s EPS growth profile to be driven by decreased rental costs, following the HQ office acquisition, which is expected to close in 4Q16. Read more: http://www.benzinga.com/analyst-ratings/analyst-color/16/04/7829011/yandex-shares-upgraded-to-buy-at-goldman#ixzz45ckzMK3C